Meta Platforms Inc - Class A
Q4 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: −1.98%.
Did META Beat Earnings? Q4 2025 Results
Meta Platforms delivered a strong finish to 2025, with <a href="https://247wallst.com/investing/2026/01/28/live-will-meta-platforms-rally-after-q4-earnings-tonight/">Q4 results beating expectations</a> on both the top and bottom lines. The social media giant posted earnings per share of $8.88, clearing the $8.22 consensus estimate by 8.00%, while revenue climbed 23.8% year-over-year to $59.89 billion, ahead of the $58.47 billion Wall Street had anticipated. The primary engine behind the revenue beat was advertising, which contributed $58.14 billion as ad impressions rose 18% and average price per ad ticked up 6%, with daily active users across Meta's Family of Apps reaching 3.58 billion in December. Operating margin contracted to 41% from 48% a year ago as total costs surged 40%, driven by a sharp jump in R&D spending to $17.14 billion. Looking ahead, Meta guided Q1 2026 revenue of $53.50 to $56.50 billion and projected full-year capital expenditures of $115 to $135 billion, a dramatic acceleration tied to the buildout of Meta Superintelligence Labs, underscoring the company's deepening commitment to AI infrastructure.
- Ad impressions increased 18% year-over-year in Q4 2025
- Average price per ad increased 6% year-over-year in Q4 2025
- Family daily active people grew 7% year-over-year to 3.58 billion
- 24% year-over-year advertising revenue growth in Q4
“We had strong business performance in 2025. I'm looking forward to advancing personal superintelligence for people around the world in 2026.”
Meta CEO, on the earnings call
Forward Guidance & Outlook
Meta expects Q1 2026 total revenue of $53.5-56.5 billion, with foreign currency providing an approximately 4% tailwind to year-over-year growth. Full-year 2026 total expenses are expected to be $162-169 billion, driven primarily by infrastructure costs (third-party cloud spend, higher depreciation, and infrastructure operating expenses) and employee compensation for technical talent. Capital expenditures for 2026 are projected at $115-135 billion, a significant increase to support Meta Superintelligence Labs and core business. Despite the infrastructure investment step-up, Meta expects 2026 operating income to exceed 2025 levels. The full-year 2026 tax rate is expected at 13-16%. Reality Labs operating losses are expected to remain similar to 2025 levels. The company noted regulatory headwinds in the EU and U.S., including youth-related litigation that may result in material losses.
META YoY Financials
META Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.